-3- undoubtedly remembered from a conversation had had with him at that time, he had believed that France should declare war upon Germany in order to save Czechoslovakia, and that he was convinced that if France had done so at that time, England would have been forced into the war on the side of France. Munich had been a cardinal error in French and British policy. But that was past history. His well-known sentiments on this subject, and on the general subject of Franco- German relations, made it easier for him to follow an ob- jective policy now. He stated to me quite plainly that he believed the political and territorial issues now at stake could be solved without any considerable difficulty through nego- tiations between the Allies and Germany. He stated that the real problem was the problem of how France could obtain security and insure herself against a repetition of German aggression. He said that if a practical scheme could be devised, upon the basis of an international air force as a police power, and the abolition of all cate- gories of offensive armament, he would support such a negotiation, believing it to be infinitely more in the interests of the French people than the continuation of the present war, with the probable economic and social havoc and ruin which would result, quite apart from the inevitable losses in life and property. M. Paut Reynaud spoke with deep appreciation of the cooperation shown the French Treasury by the American Treasury Department. He especially asked-- that I convey his gratitude to Secretary Morgenthau. As |